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Following is information concerning Katy Company (all amounts in millions): 2019 2018 2017 Current assets $7,110.45 $7,732.02 $8,191.30 Current liabilities 2,211.28 2,419.23 2,812.11 Total assets
Following is information concerning Katy Company (all amounts in millions):
2019 | 2018 | 2017 | |
Current assets | $7,110.45 | $7,732.02 | $8,191.30 |
Current liabilities | 2,211.28 | 2,419.23 | 2,812.11 |
Total assets | 8,086.84 | 8,720.32 | 9,083.54 |
Total liabilities | 4,849.18 | 5,193.08 | 5,667.61 |
Shares outstanding | 158.88 | 157.01 | 153.90 |
Retained earnings | 3,503.11 | 3,468.93 | 3,363.27 |
Stock price per share | 20.15 | 24.12 | 30.20 |
Sales | 3,858.21 | 5,646.98 | 7,123.45 |
Earnings before interest and taxes | -108.53 | 553.10 | 1,552.59 |
a. Compute and compare the Altman Z-score for the three years provided
b. what trend appears?
c. Is the company more or less likely to go bankrupt given the Z-score in 2018 or 2019?
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